NASHVILLE, Tenn. -- Tennesseans are filing for unemployment in record numbers, yet a new report from the Sycamore Institute says the state's unemployment benefits and related employer taxes are among the lowest in the nation.
As the coronavirus pandemic continues with a potential second wave expected, more families are relying on unemployment insurance to stay financially afloat. Sycamore policy director Mandy Pellegrin said COVID-19 has left many wondering what the future holds for the state's system.
"Over the last two decades, Tennesseans have been less likely than other out-of-work Americans in other states to get unemployment benefits," Pellegrin said. "In other words, our recipiency rate is fairly low. And at the same time that that's been going on, the value of the benefits that Tennesseans receive from the program has fallen."
According to the report, Tennessee's unemployment insurance program provided benefits to around 21% of unemployed workers during the first quarter of 2020. The state currently ranks in the bottom eight among states for the number of out-of-work residents who are receiving benefits.
Pellegrin said policymakers might start by taking a look at how Tennessee's unemployment trust fund is supported. Right now, the program gets padded with cash during good times, and is paid out to people when the economy goes downhill.
"Of course, the way the taxes are structured, like they are in nearly every state, is that when your funds get really large, the taxes actually go down," she said. "So, there are some questions about is that actually the best way to to do it."
The additional $600 per week in federal benefits some Tennesseans are receiving through the CARES Act is slated to run out at the end of July. Pellegrin noted it remains uncertain what effect that might have on the economy.
"At the same time, policymakers can't control what people choose to do if they do fear for their health," she said. "So, people (are) choosing to stay home and not go to their local businesses because they fear they might get or spread the virus. "
More than 600,000 people in Tennessee have applied for unemployment benefits since the start of the COVID-19 pandemic.
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A Minnesota House committee heard testimony Thursday about the governor's proposed spending plan for education. As these talks unfold, public polling indicates voters want to see more dollars go toward improving public schools.
Gov. Tim Walz's plan calls for boosting the general education funding formula over the next two years and tying it to inflation, while adding more staff such as counselors and social workers.
State Education Commissioner Willie Jett touted the overall proposal during the committee meeting.
"We must never lose sight of the fact that a well-supported educator workforce is fundamental and critical to the survival of our schools, and the well-being and academic success of our students," he said.
Nationally, a new American Federation of Teachers poll found 66% of voters think the government spends too little on education, and nearly 70% want to see more funding. The governor's plan closely aligns with education priorities among legislative Democrats. Republicans, who are in the minority this session, have voiced concerns that too much surplus money would go to underperforming schools.
Minnesota is also looking at boosting unemployment insurance aid to include hourly school workers when they struggle to stay employed over the summer. Rep. Emma Greenman, DFL-Minneapolis, said it's encouraging to see more conversation about helping support staff.
"If your district is like my district," she said, "you're hearing a lot about the staffing shortages, about the need for 'paras' - I hear a lot about that from parents and teachers - about the bus driver shortage."
By "paras," she meant paraprofessionals who help in clasrrooms.
In the AFT poll, teacher shortages and unsafe campus environments were listed as among the most serious problems at schools. The survey was conducted in late December and included input from 1,500 registered voters nationwide.
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Gov. Greg Gianforte delivered his State of the State address to the Montana Legislature Wednesday night, discussing his plans for the state's hefty budget surplus.
Lawmakers are looking at a surplus of $2.5 billion. Republican Gianforte's top priority for the money is tax cuts.
Rose Bender, director of research for the Montana Budget and Policy Center, said the governor's proposal disproportionately benefits wealthy Montanans.
"The governor's income-tax cut proposal gives the wealthiest 1% of Montanans, on average, $6,000 each year in tax cuts, while middle-income families or those near the median income receive on average $50," Bender explained.
Bender noted most of the other tax cuts proposed, such as a property tax rebate, also would skew toward higher-income Montanans. However, she said a child tax credit the governor touted in his speech would be helpful for people with more modest incomes. The proposal would provide $1,200 to families with children age six and under, similar to a federal Child Tax Credit, which expired at the end of 2021.
Bender argued the Montana Legislature should do more this session to make health care costs more affordable and invest in child care, which is costly for families. She added other issues need addressing, as well.
"Montana's experiencing a serious housing crisis, and investing some direct state dollars into long-term housing solutions for families living on lower incomes should be another priority," Bender contended.
In his speech, Gianforte also asked lawmakers to focus on education reforms this year, including what he's calling more "parental rights." The session is scheduled to adjourn April 25.
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Humanitarian groups, including one based in Minnesota, pointed out global conflicts have been pervasive in recent years. And in those trouble spots, there is a need for unarmed civilian protection.
Groups working on the issue noted there is a bright spot in their funding. The omnibus bill signed in late December by President Joe Biden included language about the importance of organizations trying to bolster nonviolent protection in communities experiencing, or at risk of, conflict.
Calista Burpee, advocacy consultant for the group Nonviolent Peaceforce, said the recognition is not just about dollars and cents; it can serve as a catalyst to foster similar work.
"It's so that more organizations will start to practice unarmed civilian protection," Burpee explained. "More governments will start to see it as an alternative to violent intervention."
Groups like hers rely on strategies like relationship-building to help establish sustainable peace. Many examples can be found in nations dealing with turmoil. But Nonviolent Peaceforce also is on the ground in places like Minneapolis, where it helps student advisory groups with de-escalation efforts within schools.
Over the past year, the war in Ukraine has resulted in images of civilians fighting back against Russian forces.
Claire Guinta, external relations manager for Nonviolent Peaceforce, noted there is another dynamic at work, addressing protection gaps in the country: humanitarian groups helping with evacuations for Ukrainians who want to escape the violence but aren't sure what to do.
"There's a lack of information," Guinta emphasized. "It's connecting people to the different resources and information that they need along the way to get them to where they want to be going."
She added such guidance is crucial when people face a long journey to safety. As for future federal funding, advocacy groups are petitioning for $25 million in the fiscal year 2024 spending plan, arguing it is an effective use of a fraction of the defense budget.
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